Volvo has updated the plug-in hybrid version of its XC90 crossover to comply with the Euro 7 environmental standard, set to take effect in November 2026. These changes specifically target the T8 powertrain, which is the only version available in some European markets.

The 2.0-liter gasoline engine has undergone significant upgrades, now operating on a more efficient Miller cycle. This move reduces fuel consumption and emissions, though it comes at the cost of engine power. Previously rated at 310 horsepower and 400 Nm of torque, the updated engine now delivers 250 horsepower and 360 Nm.

Meanwhile, the electric motor sees a boost in power, increasing from 145 to 156 horsepower. The combined system output now reaches 406 horsepower, down from the previous 455 horsepower. According to official figures, fuel consumption has dropped to 3.3–3.8 liters per 100 kilometers, compared to the earlier 3.5–4.2 L/100 km. The electric-only range remains around 70 kilometers.

The update also brings changes to the color palette. Ice White Solid is now the base color, while a new shade called Forest Lake has been introduced. Platinum Grey, however, has been removed from the lineup. Pricing for the 2027 model year Volvo XC90 in Europe starts at approximately 93,495 euros.